Understanding Financial Well-Being in the Czech Republic: The Role of Financial Knowledge, Attitudes, Behavior, and Experience

Financial well-being’s benefits extend beyond the financial domain. This study examined factors of financial well-being and its dimensions—financial satisfaction, financial limitation, indebtedness, and financial anxiety—using the Czech National Representative Sample of the Adult Population. The results showed that socio-demographic variables, such as education, work status, living in an urban or rural area, and income, were related to financial well-being. Financial knowledge was related to dimensions of financial satisfaction and indebtedness. Financial attitudes were associated with higher financial well-being, characterized by lower debt and a sense of less financial limitation and anxiety. Positive financial behavior contributed to financial well-being, higher financial satisfaction, lower indebtedness, and less financial anxiety. More experience with financial products was associated with higher financial well-being and satisfaction, as well as lower financial anxiety and limitations. The results are beneficial to policymakers and financial practitioners aiming to design effective strategies and targeted interventions to improve financial well-being and its dimensions.